Drop shippers purchase goods from manufacturers and then ship them directly to the customers. For many online retailers, it is the perfect way of running a business as it does not involve the management of a large inventory or warehouse. The retailer simply needs to charge a customer amount and pay a wholesale price. The basis of a successful drop shipping business is a network of reliable drop shipping companies. While there are many drop shipping companies in USA, you need to know how to pick the very best from them. Here are some tips on selecting the best drop shipping companies for your business.
- Attend various retail trade shows and get acquainted with product manufacturers and/or their representatives. You can ask the exhibitors if they provide dropshipping services or whether they can refer someone for you. If you find someone who can provide you such services, have a look at their products and register as distributor for them in case you find the products of good quality.
- You can also make a list of companies that offer drop shipping services from visiting various online resources and do some research on what kind of products they deal with and their reliability.
- Selectively choose the segment of people or audience that you want to cater to and then choose suppliers who can offer you products relevant for that segment. In this way you can have an edge over your competitors and progressively enhance your business prospects.
- Ask your suppliers about their fees and see whether their services involve any additional charges. You should look for those who do not ask you of any payments beyond the general costs of the orders.
- Try to know about how your suppliers get their products. The suppliers may directly deal with the manufacturers or purchase goods through brokers.